Total turnover, that is, the aggregate amount for which sales are affected by the company, giving the amount of sales in respect of each class of goods dealt with by the company and indicating the quantities of such sales for each class separately.
Generic Turnover = Sales revenue (Cash, Receivables, Revenue from Proportionate or Completed contracts & Other consideration) + Other Income (enterprise resources yielding interest, royalties and dividends) - Sales Tax, Excise duties & Others - Goods returned - Price adjustments - trade discount - cancellation of bills - Inward supplies - Others.
Must exclude from Sales Revenue:
- Deferred Revenue (Advances & Prepayments).
- Commission is revenue and not cash, receivables or other consideration in case of agency relationship.
- Bad debts written off & Royalties.
- Sales Tax & Excise duty/ Others cannot be included if they are separately credited to their accounts.
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